Tesco's margin on products in ROI v NI

[pinkyBear]

Hi there,
I was told yesterday by a freind in retail that Tescos margin on products in the ROI is 33% while in NI their margin is 15%.

I was shocked when I heard this, and I know that they are not the only ones. I went to buy slippers in M & S and the sterling price was on them. The slippers were €15 and in sterling were £7.

These companies do not issue seperate results for Ireland, is it time they started doing so?

 

[terrontress]

Hi there,
I was told yesterday by a freind in retail that Tescos margin on products in the ROI is 33% while in NI their margin is 15%.

I was shocked when I heard this, and I know that they are not the only ones. I went to buy slippers in M & S and the sterling price was on them. The slippers were €15 and in sterling were £7.

These companies do not issue seperate results for Ireland, is it time they started doing so?

You'll probably find that the margin of Tesco in Ireland is similar to that of Dunnes, Superquinn etc.

As for M&S, it does not cost M&S the same to put slippers into a shop in Central London as it does to put them in a shop in Central Dublin.

 

[Guest128]

As for M&S, it does not cost M&S the same to put slippers into a shop in Central London as it does to put them in a shop in Central Dublin.

Im pretty sure it isnt double the cost though. Recently, people are realising that operational costs do not account for the difference in price:

[broken link removed]

 

[pinkyBear]

My friend who work in the importing industry is finding that in their negotions with Tescos are being squeezed so that Tescos can maintin their current margin..

 

[terrontress]

Im pretty sure it isnt double the cost though. Recently, people are realising that operational costs do not account for the difference in price:

[broken link removed]

They are complete sharks, no doubt about it but I'd say the reason why they have all come with such vigour into Ireland is that they know they can make more money for exactly the same product.

The Jervis Centre in Dublin is just a shopping centre for English stores. Debenhams, M&S, Tesco, Argos, Dixons, Schuh, Top Shop.

They have all come in rubbing their hands.

An interesting question is whether the presence of UK retailers have caused their Irish competitors to sharpen their practise.

 

[Protocol]

I would tend to agree that gross margins are higher in RoI.

In some ways they have to be, to pay for our higher costs, esp the higher property costs.

 

[callybags]

Hi there,
I was told yesterday by a freind in retail that Tescos margin on products in the ROI is 33% while in NI their margin is 15%.

I was shocked when I heard this, and I know that they are not the only ones. I went to buy slippers in M & S and the sterling price was on them. The slippers were €15 and in sterling were £7.

These companies do not issue seperate results for Ireland, is it time they started doing so?

I think it's very simple. If you think the slippers are worth €15 then buy them: otherwise don't. Shops are operating in an open market and can try to make any margin they like.

 

[dinjoecurry]

what annoys me about the stg/euro situation is you have the irish times/indo carping on about what a disgrace it is but the irish times is €1.80 in Ireland and £1.10 in NI how do they justify that.THEY DON'T

 

[Simeon]

Sound man Dinjoe!

 

[berflan]

This is really peeving me too. Does anyone remember when Tesco tried to reduce the price of milk? The Government were up in arms because it was putting irish businesses out of business!!!! The law of unfair competition blah blah blah. Everyone is so quick to blame the 'foreign' companies that have brought employment and competition to Ireland. The minimum wage is higher here, the transport costs are higher, the bills are higher, the VAT is higher. My answer, vote out the current Government who have milked off Europe in the Tiger Days and are now milking us as a nation. Or write a book, be the daughter of an ex-prime minister and become tax-exempt.